Geely Technology Group holds the first and second-largest shareholders of Lifan

Recently, after Lifan went bankrupt, Geely Li Shufucheng’s actual controller sparked heated discussions.

According to reports, Geely Technology Group holds the first and second-largest shareholders of Lifan Co., Ltd., and the direct and indirect shareholding may allow Geely to become the real controller behind Lifan Co., Ltd. Geely Technology Group is 100% owned by Geely.

According to the latest reports, in response to the above-mentioned rumors, the relevant person in charge of Geely Technology Group responded that the report was inaccurate, and all the information in the announcement shall prevail.

On the 22nd of this month, *ST Lifan issued an announcement stating that the listed company was successfully reorganized and its controlling shareholder was officially changed from Lifan Holdings to Chongqing Manjianghong Equity Investment Fund Partnership (Limited Partnership) (hereinafter referred to as “Manjianghong Fund”),

Chongqing Manjianghong Enterprise Management Co., Ltd. (hereinafter referred to as “Man Jiang Hong Company”) will become the actual controller of the company.

According to an enterprise search, the two largest shareholders of Manjianghong Company are Chongqing Liangjiang Equity Investment Fund Management Co., Ltd., and Geely Maijie Investment Co., Ltd. (referred to as Geely Maijie), each holding 51% and 49% of the shares.

Another major participant in Lifan’s bankruptcy and reorganization is industrial investors, who is also the second-largest shareholder after Lifan’s reorganization.

According to the announcement, the industrial investors are composed of Geely Maijie, Geely Technology Group Co., Ltd. (Geely Technology), or Geely Maijie/Geely Technology holding companies with an absolute holding ratio of more than 70%.

Geely Maijie is a 99%-controlled subsidiary of Geely Technology. It can be seen that Geely invested in Lifan in a dual capacity during the reorganization of Lifan.

However, although Geely directly holds the shares of Lifan, the actual controller of Lifan is Manjianghong.

According to data, as of December 31, 2019, Lifan’s total assets were 19.407 billion yuan, total liabilities were 16.573 billion yuan, and the asset-liability ratio was 85.40%.

According to previous news, once Lifan completes the restructuring, it will be the first to produce Geely’s pure electric MPV Maple Leaf 80V.

(Via)